Amazon’s long-term debt has ballooned to roughly $128.9 billion, nearly doubling from around $65 billion. The cause: a capital expenditure spree that CEO Andy Jassy insists is not optional but necessary to keep AWS ahead in the AI arms race.
The company recently raised its 2026 capex guidance to $220 billion, up from an already eye-popping $200 billion target. A $25 billion bond issuance helped fund the expansion.
Why Jassy is betting the balance sheet
AWS reported Q2 2025 revenue of $129 billion, reflecting 20% year-over-year growth. Jassy has framed the spending as a response to “sustained customer demands” for AWS services.
Amazon isn’t alone in this race. Microsoft, Google, and Meta are all throwing staggering sums at data center buildouts.
